A Useful Measure for an Organization to Monitor Is the Total

question 59

Multiple Choice

A useful measure for an organization to monitor is the total expenditures for treating loss exposures including retained losses,loss control expenses,insurance premiums,and other related expenses.This measure is called the organization's

• A)cost of capital.
• B)cost of goods sold.
• C)cost of risk.
• D)cost of equity.

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Definitions:

Income Taxes

Taxes on an individual's or corporation's income imposed by the government.

Modified Accelerated Cost Recovery System (MACRS)

The system of accelerated depreciation allowed for federal tax computations.

5-Year Asset

An asset that is expected to provide economic value or service for a period of five years.

Computers

Electronic devices designed to process, store, and communicate information, playing a crucial role in both personal and professional settings.